Credit union stake

BANK of Scotland subsidiary St Andrew’s Insurance (Australia), which originally was set up in 1998 to support BankWest and whose client base now includes RAMS HomeLoans, Capital Finance, RAC Finance and HOME Building Society, has announced its intention to take a significant stake in the credit union sector.

St Andrew’s is offering credit unions a customised claw-back arrangement in which the credit union can be guaranteed its commission income regardless of whether the policy is cancelled before its expiry date.

“In a period of change in the financial services industry where non interest income streams are becoming critical, St Andrew’s can provide credit unions additional revenue at minimal expense,” said John van Der Wielsen, managing director of St Andrew’s Insurance (Australia).